Research On The Impact Of New Energy Subsidies On The Return On Equity Of Auto Companies Based On The Mediating Effect Test

In the current society,how to alleviate prominent energy and environmental issues has increasingly become an important link for my country to achieve high-quality development goals.Therefore,the Party Central Committee put forward the strategic goal of "carbon peak and carbon neutrality" to force my country’s development of green transformation and promote the construction of ecological civilization.It can be seen that,as one of the strategic emerging industries,the new energy automobile industry can not only alleviate the pressure of climate warming and energy scarcity,but also one of the inevitable transformation directions of the future development of the automobile industry.In recent years,the penetration rate of my country’s new energy vehicle market has continued to increase.This phenomenon has benefited from many factors.Among them,the leadership,incentives and coordination of new energy policies are crucial.As an important policy intervention,new energy subsidies can improve the efficiency of resource allocation and promote the development of emerging industries by supporting enterprises.However,subsidies will increase the financial burden,and will also bring about arbitrage,fraudulent compensation and other behaviors,distorting the incentive effect of the subsidy policy.With the continuous improvement of the industrialization of new energy vehicles,the state has begun to continuously improve the subsidy standards for new energy vehicles,raise the subsidy threshold,and implement subsidy decline.In the post-subsidy era,will the reduction of subsidies affect the return on assets of enterprises and hinder the development of the industry?On the other hand,it is too superficial to analyze the development of new energy vehicles only from the perspective of production and sales.To further expand the market,companies should rely on their own strength to strengthen R&D and technological innovation to reduce costs and improve product performance.However,the spillover of R&D activities and the lag of R&D results will affect the return on assets of enterprises,leading to lack of enthusiasm for R&D,which is not conducive to the long-term development of the industry.In this context,it is of great significance to explore the effects of government subsidies on the rate of return on corporate equity and clarify the flow and impact of subsidies within the company.In the theoretical mechanism part,based on life cycle theory,innovation theory,crowding-out theory,etc.,this paper incorporates government subsidies,corporate R&D,and return on equity into the research system at the same time.Analyzing the mechanism of government subsidies on corporate return on equity and the incentive effect of R&D expenditure,and put forward research hypotheses.In the empirical test part,this article is based on the data of 89 Chinese auto companies from 2001 to 2019,using a moderated intermediary effect model to explore the effect of fiscal subsidies on corporate return on equity,as well as the intermediary effect of corporate R&D expenditure and the moderating effect of business differences.The study found that:(1)Financial subsidies will inhibit the return on equity of auto companies.(2)R&D expenditure is an intermediary factor that financial subsidies have on the return on equity of companies.Financial subsidies will encourage R&D expenditures,but R&D expenditures have a negative impact on the return on equity of auto companies.(3)In the first half of the intermediary path,the incentive effect of fiscal subsidies is no different between new energy car companies and traditional car companies.The increase in R&D expenditures of new energy car companies in the second half of the path has a more restraining effect on their return on equity.(4)Environmental regulations will strengthen the effects of the two paths of "government subsidies-corporate return on equity" and "government subsidies-R&D expenditures".And under the constraint of environmental regulations,the R&D incentive effect brought by the subsidy policy to traditional auto companies is higher than that of new energy car companies.It can be seen that the new energy subsidy policy cannot improve the return on equity of enterprises;the requirements for energy conservation and emission reduction will increase the cost of enterprises and affect the profitability of enterprises.When formulating relevant new energy policies,the government must fully consider the possible effects of the policy and make timely adjustments to the policy.Finally,based on the conclusions of this article,corresponding policy recommendations are given:(1)Improving the subsidy program.(2)Improving the new energy policy system.(3)Strengthening the use of funds and internal supervision of enterprises.(4)Attaching importance to promoting technological development and progress,and establish an intellectual property protection system.(5)Actively carry out business transformation of automobile enterprises.